Chapter 1: The Electricity Crisis

Upon hearing the government's strategy for tackling our electricity dilemma, I initially thought it was an elaborate joke.

For those who have been following my previous discussions, I’ve expressed my frustration over the recent month-long rolling blackouts in South Africa. Our lives now revolve around the unpredictable power schedule, reminiscent of a childhood rhyme about the ups and downs of fortune.

I won’t bore you with excessive details, but it's crucial to provide context for why the president's suggestion, endorsed by his outdated Minister of Mineral Resources and Energy, resembles a tragic comedy.

Before diving into the proposed remedy for the energy crisis, let's take a moment to reflect on the history of Eskom, South Africa's only electricity supplier.

For 85 years, Eskom was celebrated as one of the world’s leading utilities. However, in 1998, experts warned that without intervention, Eskom would exhaust its electrical reserves by 2007. By 2008, the country faced load-shedding for the first time, and fourteen years later, the situation has only worsened.

What does this indicate? Politics interfered.

During the 1990s, the significant electrification initiatives in townships enhanced the ANC's standing. Consequently, electricity became entangled in political dynamics. The ruling party established a national regulator (NERSA) to manage prices with minimal increases, fearing backlash from constituents over high tariffs.

At that time, Thabo Mbeki's government faced pressure to partially privatize Eskom, with numerous bidders eager to invest. However, due to leftist pressures and the influence of Communist Party members within his cabinet, Mbeki retreated.

Instead of partnering with the private sector, the government directed Eskom to independently undertake two major coal-fired projects—the infamous Medupi and Kusile plants—leading to skyrocketing costs due to poor project management, corruption, and negligence.

Construction for Medupi and Kusile commenced in 2007, with completion expected by 2014, but neither project met its deadline, resulting in a staggering cost overrun of $18.2 billion. An explosion at Medupi's Unit 4 last August underscored the dire maintenance issues, as proper procedures were overlooked.

Energy expert Chris Yelland commented that Medupi remains far from operational, despite claims of its completion.

“The design corrections for the milling plant at Kusile won’t be finished until after December 2027!”

On July 11th, in his weekly newsletter, President Ramaphosa announced his collaboration with relevant ministers and officials to expedite electricity supply enhancement efforts, stating, “This is no time for business as usual. We need to act boldly to make load-shedding a thing of the past.”

But skepticism prevails among citizens; "coming days" could mean any time frame from this year to never. Past experiences have shown us that the ruling party rarely follows through unless it benefits their interests.

What’s the proposed solution, you ask? Drumroll, please.

President Ramaphosa revealed at the SA Communist Party conference that a new state-owned power utility will be introduced to compete with Eskom. This suggestion, made by Minister Gwede Mantashe, was met with approval from the president.

This reminds me of Albert Einstein's quote: “We cannot solve our problems with the same thinking we used when we created them.”

The president further speculated that competition could lead to lower electricity prices. Let’s not forget, they established the National Regulator to control pricing.

He even cited China’s model, where state-owned companies compete to reduce prices. How did he amass his wealth with such flawed reasoning?

In the private sector, competition thrives on efficiency and accountability, with qualified personnel ensuring high standards. In contrast, the ANC prioritizes party loyalty over competence, neglecting the democratic principle of serving the nation first.

Here lies the crux: in China, qualifications matter for employment. Poor performance leads to dismissal, and corruption is met with swift punishment. In South Africa, however, the rules differ markedly.

Under Zuma’s presidency, corruption reached alarming levels, affecting not just Eskom but many state-owned enterprises (SOEs), where incompetent managers thrived due to their loyalty to the ANC.

Initially, we had hope with Ramaphosa’s leadership, believing he would eradicate corruption. However, the situation remains unchanged.

SOEs have faltered due to mismanagement, high operating costs, and burdensome debt, with the current total debt reaching $43.2 billion. Eskom requires an additional 6,000 MW to conduct necessary maintenance.

Independent power producers are eager to implement renewable energy projects, but bureaucratic hurdles and Minister Mantashe's resistance impede progress.

With this in mind, the idea of introducing another state-owned utility to rival Eskom seems absurd.

The ANC is on the path to generating yet another national crisis.

“Insanity is doing the same thing over and over and expecting different results.” - Albert Einstein.

Let’s lighten the mood with a touch of humor.

Chapter 2: The Political Landscape

In the ever-changing political landscape of South Africa, the consequences of mismanagement and corruption continue to unfold, impacting citizens across the nation.

The second video delves into Biden's recent gaffe, raising concerns about his capabilities as president. This reflects broader issues within leadership and governance, relevant to our own situation.

Thank you for your continued engagement.